IMA/CMA Program UpdateNortheast Regional Council Conference 9/22/14

Dennis Whitney, CMASenior Vice President, ICMA®

Agenda

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IMA - Advancing the Global Profession1

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CMA Program Update

Marketing and Business Development

5 IMA Professional Development Update

IMA - A Year in Review

6 The Path Forward

IMA – Advancing the Global Profession

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IMA and Affiliates

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One Vision: To be the resource for developing, certifying, connecting, and supporting the world’s best accountants and financial professionals within businesses.

Mission Statements

IMA

“To provide a forum for research, practice development, education, knowledge sharing, and the advocacy of the highest ethical and best business practices in management accounting and finance.”

ICMA

“To develop, administer, and promote certification designed to validate mastery of the relevant body of knowledge and practical skills of management accounting and finance professionals.”

Memorial Education Fund

“To accept bequests and gifts to support programs that further IMA member education and educational activities that further the profession of management accounting.”

IMA Research Foundation

“To develop and disseminate timely management accounting and financial management research findings that can be applied to current and emerging business issues.”

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Global Core Values

• Respect for the individual• Passion for serving members• Highest standards of integrity and trust• Teaming to achieve• Innovation and continuous improvement

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Strategic Goals

Three primary strategic goals drive our plan:

Create superior member value

Increase the penetration of the CMA® exam

Grow membership

Success with these goals will continue to result from a primary focus on the needs of our members, supported by strong internal processes and our capacity to learn and grow. Success also creates the financial resources that are the foundation for sustainable growth.

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IMA: A Year in Review

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• Strong growth in all areas – one of the fastest growing associations

• Strong balance sheet and reserves• Financial discipline and health leads to great things for all

stakeholders, especially our members• CMA program is the leading management accounting

certification in the world• Exclusive focus on management accounting for nearly a

century• Global expansion and strong partners • We are proud of our culture and core values

IMA: A Year in Review

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Global Footprint - 2014

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The Americas & Head Office

Staff – 80Members – 46,000CMAs – 16,000% New Candidates – 19%Exams – 4,700

Middle East Office

Staff – 7Members – 12,000CMAs – 2,100% New Candidates – 35%Exams – 7,300

Asia / Pacific Office

Staff – 13Members – 12,400CMAs – 2,600% New Candidates – 42%Exams – 10,700

Europe Office

Staff – 3Members – 2,600CMAs – 900% New Candidates – 4%Exams – 1,000

July August September October November December January February March April May June

FY10 58360 58581 58759 58,907 59243 59523 59796 63046 64671 64,619 64308 63,893

FY11 63794 63808 63975 64095 63792 64369 64007 63845 64120 64025 61985 60818

FY12 60618 61060 61609 62160 62260 63,223 63207 63415 63848 65492 65714 65099

FY13 64921 64878 65064 66390 66368 66149 66802 67525 66520 66821 67278 68200

FY14 67,011 66783 67666 68390 68408 69198 71271 71506 71049 70682 71345 72921

57000

59000

61000

63000

65000

67000

69000

71000

73000

75000

Total Membership Actuals FY10-FY14

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IMA Membership Growth

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Student Membership – 2010-2014

July August September October November December January February March April May June

FY10 3672 3602 4015 4378 4527 4448 4090 4096 4472 4452 4266 4040

FY11 3978 4017 4353 4897 4992 4661 4627 4824 5129 5180 4581 4234

FY12 4192 4206 4578 5156 5334 5083 4791 4977 5210 5361 5388 5134

FY13 5094 5103 5584 6314 6588 6544 6300 6344 6755 7032 7029 6974

FY14 6977 7130 7765 8495 8756 9151 8825 8955 9159 9223 9564 9820

3000

4000

5000

6000

7000

8000

9000

10000

11000

Student Membership FY10 - FY14

2014 2013 2012 2011 2010

Operating Revenue $ 25,504 $ 24,620 $ 22,881 $ 21,135 $ 20,341

Change in Net Assets $ 1,813 $ 930 $ 1,605 $ 439 $ 2,568

Net Assets $ 15,300 $ 13,487 $ 11,882 $ 11,443 $ 8,875

IMA Financial Summary

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($ in thousands)

• Growing revenues• Growing financial resources• Growing ability to support members in their careers

Academic Development

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Contributions to Accounting Education

Management Accounting Section of the American Accounting Association (AAA), working to:

Define the competencies of accounting and finance professionals

Provide curriculum recommendations to universities

Curriculum mapping to identify paths to multiple certifications

Improve preparation of young accountants for careers inside businesses

Pathways Commission on Accounting Higher EducationRepresentation on task force commissioned by AAA and AICPA to study the future structure of higher education for the accounting profession

IMA Committee on Academic Relations (CAR)Developing quality standards for accounting education

Identifying and endorsing business programs that meet these standards

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University Student Support

• Scholarshipso Over $30,000 awarded each year

• University Student Chapterso 114 Student Chapters across the world

• Student Case Competitionso China - 400 teams (1500 participants!)o U.S. - 22 teamso Middle East - 20 teams

• Student Leadership Conferenceso Annual event in the U.S. since 1999o November 2013: Charlotte, NC, 580 students from 110 universitieso May 2014: Zurich, Switzerland, 17 students from 5 countries

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Promoting Management Accounting Curriculum

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IMA’s Academic Endorsement Program

•Recognizing schools that meet quality educational standards to prepare students for the CMA exam

•Launched in 2013

•Schools that have earned the endorsement:

Athens State University Johnson & Wales University-CharlotteBrigham Young University Michigan State UniversityCleary University Pennsylvania State UniversityClemson University University of FindlayDixie State University University of UtahEastern Oregon University Washington State University-Vancouver

Curriculum Mapping –Provides detail on which college courses prepare students for CMA exam topics–Can be used as a reference for academic endorsement application

CMA Program Update

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CMA Program Success

The CMA program continues to grow globally in respect, influence, new CMAs and CMA candidates.

2014: Record numbers of New CMAs: 3,003 New CMA candidates: 14,662

Members and candidates in 140 countries

Five year annualized growth rate of nearly 30%

Prominent in the world’s two largest economies

New CMAs FY05 - FY14

New CMAs by Region

CMAs by Region

Total New CMA Candidates FY09 - FY14

4 part to 2 part exam

CMA Candidates by Region

Exams by Region

Pass Rates

5,018 exams were taken in May/June 2014; pass rates will be released in August

1396exams

7701exams

Part 1 Pass Rates by Region

1677exams886

exams388

exams

1963exams

4914exams

Part 2 Pass Rates by Region

NEW CMA Exam Content

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- External Financial Reporting Decisions

- Planning, Budgeting, and Forecasting

- Performance Management

- Cost Management

- Internal Controls

Part 1: Financial Reporting, Planning, Performance and Control

- Financial Statement Analysis

- Corporate Finance

- Decision Analysis

- Risk Management

- Investment Decisions

- Professional Ethics

Part 2: Financial Decision Making

Part 1 – Financial Reporting, Planning, Performance, and Control

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Performance Management

External Financial Reporting

Decisions

Planning, Budgeting and

Forecasting

Cost Management

Internal ControlsGovernance, risk, and compliance, internal auditing, systems

controls, and security measures

Part 2 – Financial Decision Making

Decision Analysis

Financial Statement Analysis

Corporate Finance

Risk Management

Investment Decisions Discounted cash flow analysis for capital investments

Professional EthicsEthical considerations for accounting and finance

professionals in business

Marketing and Business Development Update

Marketing Update

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Strategy Components

Branding

Targeted Acquisition

Digital Lead Acquisition

Provider Partnership

Branding

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Efforts driven via a progressive public

relations & social media approach

Platforms created via events,

statements, interviews, etc.

Platforms then covered and exposed

through media outlets globally

IMA/CMA exposed through

communities of tens of thousands of

potential members via social media

Targeted Acquisition

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Efforts executed to targeted

audiences we capture in a

variety of ways

Audiences are hit both digitally,

and via postal mail

Various offers are tested, and

we leverage our continuing

spend on the most successful

offers

Digital Lead Acquisition

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Execute a strategic, global plan to

acquire leads

The strategy leverages prospect

interest in thought leadership

Campaigns driven by a substantial

digital advertising spend, so

complements branding efforts

Leads acquired are then added to

the Targeted Acquisition plan.

Review Course Provider Partnerships

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Partnership networks created in all

global regions

Rely on marketing plans and

campaigns of network to

compliment IMA campaign, and

expand CMA messaging

Work with providers cooperatively

to develop markets, create

candidate incentives, etc.

IMA Business Development Eco System

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15 Business

Development Staff

200 Professional

MemberChapters

100 Student Member Chapters

12Endorsed

Universities

115 Global

Providers

11 Strategic Partners

Corporate Activity

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Corporateo Underwritten researcho Direct lead development

(leveraging thought leadership content through Salesforce)

o Corporate recognition events

o Renewed volunteer committee approach

Influencers

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Campus Outreacho Academic Endorsement Programo Management accounting degree programso Campus Advocate Programo CMA scholarshipso IMA student chapters

Course Providers (non-credit)o Directors of continuing, professional, and executive education

functionso Private course providers

Course Providers (for credit)o Accounting chairs and professors

Professional Development Update

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ECS Research

Publications

ICMA

Strategic Asset: Content Creation Team

ECS Research

Thematic alignment produces synergies and allows members to explore important topics in different media.

Examples of Cross Functional Outputs: PowerPacks

Cross-Functional Leverage of Assets: PowerPacks

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Cross-Functional Leverage of Assets: Courses

COMING SOON: NEW ETHICS COURSE!

SUSTAINABILITY

FP&A SERIES

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IMALA Product Snapshot

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Leadership Academy is a valuable IMA product offering leadership profile setup, stand-alone courses, mentoring, and recognition.

Components:Leadership Profiles on IMALA website 22 Stand-alone Course Offerings

Includes PPT slides, leader & participant guidesTopic range: Leadership, Coaching, Team Skills, Change, Delegation, etc.

Recognition Program IMA Mentor/Mentee NetworkStrategic Finance Leadership ColumnsVolunteer Structure

IMA: The Path Forward

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Key Elements in IMA Strategy

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• Aggressive global expansion of the CMA program

• Member retention and loyalty in all regions through delivery of valuable products and services

• Increased emphasis on the Student / Academic market to reach the Young Professional of tomorrow

• Development of internal competencies including the mastery of technology that directly impacts members

The Strategy – in a “nutshell”

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Balanced Scorecard Strategy Map

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IMA: Your Critical Role

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Thank You/Questions and Discussion